Moderna Inc. (NASDAQ: MRNA) saw its shares jump 7.94% on Thursday, closing at $49.64, as a broad market rally lifted biotech and growth stocks. The stock touched an intraday high of $49.94 before settling, recovering from a 3.65% decline the prior session. After-hours trading saw the stock ease slightly to $49.16.
The rally came amid a strong rebound in U.S. equities, with the Nasdaq Composite climbing 2.53%, the S&P 500 gaining 1.75%, and the Dow Jones Industrial Average rising 1.84%. The broader market move was fueled by news that President Donald Trump called off planned strikes on Iran, boosting risk appetite. "Our technical indicators are looking relatively oversold here," said Robert Phipps, director at Per Stirling Capital Management, in comments to Reuters.
Cancer Vaccine Pipeline Advances
Beyond the macro tailwinds, Moderna remained in focus due to its oncology pipeline. On June 9, Oxford Cancer announced that the UK Medicines and Healthcare products Regulatory Agency (MHRA) had authorized a Phase 1 trial for Moderna's experimental mRNA-based cancer vaccine, mRNA-4194, targeting Lynch syndrome. This genetic condition affects approximately one in 300 people globally and carries a lifetime cancer risk as high as 80%. The INTERCEPT-Lynch trial, backed by Moderna and run by the University of Oxford, aims to begin patient enrollment this summer.
Moderna's chief development officer, David Berman, called the MHRA authorization "an important milestone." Professor David Church at the University of Oxford described the trial as a "meaningful step" toward preventing cancers linked to Lynch syndrome before they develop. The vaccine is designed to train the immune system to identify and eliminate pre-cancerous cells.
The oncology pipeline extends beyond Lynch syndrome. Over 130 studies at the recent American Society of Clinical Oncology (ASCO) meeting highlighted mRNA cancer vaccines, according to Reuters. Moderna and Merck's experimental personalized mRNA cancer shot, combined with immunotherapy, was featured for five-year melanoma results. The companies are also conducting nine large and mid-stage cancer trials testing mRNA therapies across lung, kidney, bladder, and pancreatic cancers.
Wall Street Remains Cautious
Despite the positive sentiment, Wall Street analysts maintain a cautious stance on Moderna. According to StockAnalysis, the average rating from 23 analysts is "Hold," with a 12-month price target of $43.30, below Thursday's closing price. BofA recently raised its price target to $34 from $32, maintaining an Underperform rating, citing improved expectations for Moderna's norovirus vaccine ahead of a Phase 3 trial result expected later this year.
Financial Performance
Moderna's financial results remain a key consideration for investors. In its first-quarter report released May 1, the company posted revenue of $389 million, up from $108 million in the same period last year. However, its GAAP net loss widened to $1.3 billion, largely due to a $0.9 billion charge related to a one-time litigation settlement. The company ended March with $7.5 billion in cash, cash equivalents, and investments, and reiterated its outlook for up to 10% revenue growth in 2026.
Moderna's stock has been volatile this year, with investors weighing the potential of its pipeline against ongoing cash burn and regulatory milestones. The broader market recovery and progress in cancer vaccine development provide near-term catalysts, but analysts remain cautious given the company's valuation and competitive landscape.
